Caesars Entertainment, Inc. Announces Pricing of 4.625% Senior Notes due 2029

Rhea-AI Summary

Caesars Entertainment, Inc. (CZR) announced the pricing of a $1.2 billion offering of 4.625% Senior Notes due 2029. The size of the offering increased by $200 million, with completion expected by September 24, 2021. Proceeds will be used to manage existing debt, specifically to redeem 5.250% Senior Notes due 2025 along with associated fees. The Notes are offered to qualified institutional buyers in the U.S. and outside under Regulation S, not registered under the Securities Act.

Positive

• Successful pricing of $1.2 billion Senior Notes offering, increasing by $200 million.
• Intended use of proceeds for debt management, indicating proactive financial strategy.

Negative

• Dependence on debt financing raises concerns about overall debt levels.
• Notes are not registered under the Securities Act, limiting potential market access.

LAS VEGAS and RENO, Nev., Sept. 10, 2021 /PRNewswire/ -- Caesars Entertainment, Inc. (NASDAQ: CZR) (the "Company") today announced that it priced an offering of $1.2 billion aggregate principal amount of its 4.625% Senior Notes due 2029 at par (the "Notes") (the "Notes Offering"). The sale of the Notes is expected to be consummated on or about September 24, 2021, subject to customary closing conditions. The size of the Notes Offering was increased by $200 million aggregate principal amount subsequent to the initial announcement of the Notes Offering.

The Company intends to apply the net proceeds of the sale of the Notes, together with cash on hand, (i) to tender, redeem, repurchase, defease or satisfy and discharge all of the 5.250% Senior Notes due 2025 of Caesars Resort Collection, LLC, a wholly-owned subsidiary of the Company, together with all accrued interest, fees and premiums, and (ii) to pay fees and expenses related to the foregoing.

The Notes are being offered in the United States to persons reasonably believed to be qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the "Securities Act"), and outside the United States pursuant to Regulation S under the Securities Act. The Notes have not been registered under the Securities Act and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements.

This press release is neither an offer to sell nor a solicitation of an offer to buy any securities, nor shall there be any offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale would be unlawful. Any offers of the Notes will be made only by means of a private offering memorandum. This notice is being issued pursuant to and in accordance with Rule 135(c) under the Securities Act.

About Caesars Entertainment, Inc.

Caesars Entertainment, Inc. is the largest casino-entertainment company in the US and one of the world's most diversified casino-entertainment providers. Since its beginning in Reno, NV, in 1937, Caesars Entertainment, Inc. has grown through development of new resorts, expansions and acquisitions. Caesars Entertainment, Inc.'s resorts operate primarily under the Caesars®, Harrah's®, Horseshoe®, and Eldorado® brand names. Caesars Entertainment, Inc. offers diversified gaming, entertainment and hospitality amenities, one-of-a-kind destinations, and a full suite of mobile and online gaming and sports betting experiences. All tied to its industry-leading Caesars Rewards loyalty program, the company focuses on building value with its guests through a unique combination of impeccable service, operational excellence and technology leadership. Caesars is committed to its employees, suppliers, communities and the environment through its PEOPLE PLANET PLAY framework. Know When To Stop Before You Start.® Gambling Problem? Call 1-800-522-4700.

Forward-looking Statements

This press release may include information that could constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements involve risk and uncertainties. The Company undertakes no obligation to revise or update any forward-looking statements, or to make any other forward-looking statements, whether as a result of new information, future events or otherwise, except as otherwise required by law.

 

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SOURCE Caesars Entertainment, Inc.

FAQ

What is the recent announcement by Caesars Entertainment (CZR) regarding senior notes?

Caesars Entertainment announced the pricing of $1.2 billion of 4.625% Senior Notes due 2029, with proceeds aimed at debt management.

When is the expected completion date for Caesars Entertainment's notes offering?

The notes offering is expected to be completed on or about September 24, 2021.

How much did Caesars Entertainment increase its senior notes offering?

Caesars Entertainment increased its senior notes offering by $200 million.

What will the proceeds from Caesars Entertainment's notes be used for?

The proceeds will be used to redeem existing 5.250% Senior Notes due 2025 and cover related fees.

Who can purchase the senior notes offered by Caesars Entertainment?

The senior notes are being offered to qualified institutional buyers in the U.S. and under Regulation S outside the U.S.